The National Health Service (Property Expenses Scheme) Regulations 1999

Payments under the Scheme

9.—(1) Where, in any membership year, a qualifying expense arises, the Secretary of State may, subject to paragraph (2)–

(a) make a payment in respect of that expense to the member, or

(b) make any other provision towards meeting that expense as he considers appropriate,

and the making, and the manner of making, of such payment or provision shall be agreed between the member and the Secretary of State or in default of such agreement determined by the Secretary of State.

(2) The Secretary of State shall not meet any expense of a member under paragraph (1)–

(a) which falls to be met after a member has given notice under regulation 7(1) to terminate its participation in the Scheme, unless the Secretary of State is satisfied that the expense would have fallen to be met at that time irrespective of the member’s decision to give such notice;

(b) which has been incurred by an eligible body before the beginning of its first membership year, unless–

(i) some part of that expense was to be met by the member after the beginning of the first membership year,

(ii) the Secretary of State is satisfied that the member informed him, by no later than the qualifying date, of the relevant expense,

(iii) the Secretary of State agreed, no later than the beginning of the first membership year, that this sub-paragraph shall not apply so as to preclude the operation of paragraph (1) in respect of any particular expense in relation to which heads (i) and (ii) above are satisfied, and

(iv) that agreement remains in force at the date on which the relevant expense falls to be met by the member;

(c) which falls to be met after the date of the termination of the member’s participation in the Scheme, unless–

(i) the relevant expense was incurred by the member prior to that date,

(ii) the Secretary of State is satisfied that the member informed him, by no later than the qualifying date, of the expense,

(iii) prior to the date of termination of the member’s participation in the Scheme, the Secretary of State agreed that this sub-paragraph shall not apply so as to preclude the operation of paragraph (1) in respect of any expense in relation to which heads (i) and (ii) above are satisfied, and

(iv) that agreement remained in force at the date of termination;

(d) except to such extent as the Secretary of State may determine, in respect of–

(i) any expense of an amount which is less than that for the time being agreed between the Secretary of State and the Member as the minimum amount in respect of which payment may be made under the Scheme,

(ii) any expense to the extent that it exceeds such amount for the time being agreed by the Secretary of State and the Member as the maximum amount in respect of which a payment in respect of such an expense may be made under the Scheme, and

(iii) where the member has not complied with any condition imposed by the Secretary of State relating to that expense;

(e) which is of a nature in respect of which the Secretary of State has, in respect of all members and in respect of the relevant membership year, determined is not to be eligible for payment under the Scheme.

(3) In this regulation–

(a) “first membership year” means any membership year immediately following any period during which the eligible body was not a member;

(b) “member” includes an eligible body whose participation in the Scheme has been terminated and in respect of whom the conditions specified in paragraph (2)(c)(iii) and (iv) are satisfied; and

(c) “qualifying date” means the date falling 14 days after that on which the member became aware that a qualifying expense had arisen, or after that on which, in the opinion of the Secretary of State, the member ought to have become aware of that fact, whichever is the later.